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Kauai Mayor Derek Kawakami on Thursday unveiled a $448.5 million budget that aims to boost county job recruitment, improve roads, combat fire hazards and improve the county’s disaster response plans.

Kawakami’s fiscal year 2025 spending plan for Kauai County gives $344.9 million to the county’s operating budget and $103.6 million for capital improvement projects, including new affordable housing construction; stadium, skatepark and playground improvements; and the transformation of the Lihue Civic Center’s former Big Save building into a hub for early childcare and education.

The mayor closed his sixth annual State of the County speech Thursday with the announcement that his budget proposal includes a free healthcare option for county workers.

Kawakami’s proposal marks an almost 13% spending increase from fiscal year 2024’s $398 million budget, which prioritized the nuts and bolts of government services over flashy new investments. It included a $311 million operating budget and $87 million for capital improvements, including projects to address long-deferred maintenance and a bump in payments to reduce the county’s debt. 

Last fiscal year’s budget, which runs through June 30, also brought a bit of financial relief to some resident homeowners. The spending plan decreased the homestead property tax rate by 15% and lowered the residential property tax rate by 10%.